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Technology - Reuters
Reuters
Offshoring Said to Zap Electrical Engineers' Wages

Thu Dec 23, 5:47 PM ET
Add to My Yahoo! Technology - Reuters

LOS ANGELES (Reuters) - Electrical engineers have come in for a shock: for the first time in more than three decades of technological innovation, their salaries are dropping.

 

The median salary of an electrical engineer working in the United States fell $1,500 in 2003, according to a survey released this week by the IEEE-USA, a membership organization of 225,000 engineers. It was the first drop since the group started tallying data in 1972.

"These results are disturbing, but not surprising," IEEE-USA President John Steadman said in a statement. The group blamed a combination of offshore outsourcing, competition from foreigners on guest worker visas, and rising health insurance costs.

The drop contrasts with growth in overall U.S. personal income of more than 3 percent in 2003.

Electrical engineers, who were critical to the development of the personal computer, the cellular phone and the Internet, have seen their salaries rise commensurate with the importance of electronics in society. Ten years ago, the median salary was $67,000. By 2002, that had grown to $101,000.

In 2003, the median wage dropped to $99,500.

The decline bolsters claims that the move by some U.S. employers to relocate technology jobs to places like India and China is squeezing local employees.

"It's tough for someone to go demand a raise when they know they could lose their job overseas," said IEEE-USA spokesman Chris McManes.


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